Deepwater Asset Management LLC Trims Stock Position in Dutch Bros Inc. $BROS

Key Points

• Deepwater Asset Management reduced its Dutch Bros stake by 23.4% in the fourth quarter, selling 54,735 shares and leaving it with 179,106 shares worth about $11.0 million.
• Despite that trim, institutional ownership remains high, with hedge funds and other institutions holding about 85.54% of Dutch Bros stock. Several other firms also increased positions during the period.
• Analysts remain broadly bullish: the stock has a Moderate Buy consensus and an average target price of $76, even as recent insider sales by major shareholders and Chairman Travis Boersma may weigh on sentiment.

Deepwater Asset Management LLC cut its stake in shares of Dutch Bros Inc. (NYSE:BROS - Free Report) by 23.4% during the fourth quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 179,106 shares of the company's stock after selling 54,735 shares during the quarter. Dutch Bros makes up approximately 3.2% of Deepwater Asset Management LLC's holdings, making the stock its 14th biggest holding. Deepwater Asset Management LLC owned about 0.11% of Dutch Bros worth $10,965,000 at the end of the most recent reporting period.

Other institutional investors have also modified their holdings of the company. Envestnet Asset Management Inc. increased its position in shares of Dutch Bros by 56.5% during the third quarter. Envestnet Asset Management Inc. now owns 109,530 shares of the company's stock worth $5,733,000 after acquiring an additional 39,561 shares during the period. JPMorgan Chase & Co. increased its position in shares of Dutch Bros by 31.6% during the third quarter. JPMorgan Chase & Co. now owns 204,705 shares of the company's stock worth $10,714,000 after acquiring an additional 49,194 shares during the period. Thornburg Investment Management Inc. increased its holdings in Dutch Bros by 143.9% during the third quarter. Thornburg Investment Management Inc. now owns 77,711 shares of the company's stock valued at $4,067,000 after buying an additional 45,847 shares during the period. Magnetar Financial LLC increased its holdings in Dutch Bros by 107.2% during the third quarter. Magnetar Financial LLC now owns 140,590 shares of the company's stock valued at $7,358,000 after buying an additional 72,751 shares during the period. Finally, M&T Bank Corp increased its holdings in Dutch Bros by 1,559.3% during the fourth quarter. M&T Bank Corp now owns 97,334 shares of the company's stock valued at $5,959,000 after buying an additional 91,468 shares during the period. 85.54% of the stock is owned by hedge funds and other institutional investors.

Analysts Set New Price Targets

Several equities analysts recently issued reports on the stock. Morgan Stanley reissued an "overweight" rating and set a $87.00 price objective on shares of Dutch Bros in a report on Thursday, May 7th. TD Cowen reissued a "buy" rating and set a $73.00 price objective on shares of Dutch Bros in a report on Wednesday, May 20th. Telsey Advisory Group assumed coverage on shares of Dutch Bros in a report on Wednesday, April 8th. They set an "outperform" rating and a $66.00 price objective on the stock. Citigroup lifted their price objective on shares of Dutch Bros from $84.00 to $85.00 and gave the company a "buy" rating in a report on Thursday, May 7th. Finally, BNP Paribas Exane assumed coverage on shares of Dutch Bros in a report on Monday, March 30th. They set an "outperform" rating and a $73.00 price objective on the stock. One investment analyst has rated the stock with a Strong Buy rating, twenty have assigned a Buy rating and three have given a Hold rating to the company's stock. According to MarketBeat.com, the company has an average rating of "Moderate Buy" and an average target price of $76.00.

Insider Buying and Selling at Dutch Bros

In other Dutch Bros news, major shareholder Dm Individual Aggregator, Llc sold 155,692 shares of the firm's stock in a transaction that occurred on Monday, June 1st. The shares were sold at an average price of $58.26, for a total value of $9,070,615.92. Following the completion of the sale, the insider directly owned 2,932,909 shares in the company, valued at $170,871,278.34. This trade represents a 5.04% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, Chairman Travis Boersma sold 447,299 shares of the firm's stock in a transaction that occurred on Monday, June 1st. The shares were sold at an average price of $58.26, for a total transaction of $26,059,639.74. Following the completion of the sale, the chairman owned 2,932,909 shares of the company's stock, valued at approximately $170,871,278.34. This trade represents a 13.23% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold a total of 2,022,106 shares of company stock worth $115,725,491 over the last three months. Corporate insiders own 38.90% of the company's stock.

Dutch Bros Price Performance

Shares of BROS opened at $55.45 on Monday. The company has a market cap of $9.68 billion, a price-to-earnings ratio of 86.65, a price-to-earnings-growth ratio of 1.80 and a beta of 2.36. Dutch Bros Inc. has a twelve month low of $44.58 and a twelve month high of $74.66. The company has a quick ratio of 1.19, a current ratio of 1.33 and a debt-to-equity ratio of 0.21. The company has a 50 day moving average of $53.65 and a two-hundred day moving average of $55.76.

Dutch Bros (NYSE:BROS - Get Free Report) last announced its earnings results on Wednesday, May 6th. The company reported $0.16 earnings per share for the quarter, meeting the consensus estimate of $0.16. The company had revenue of $464.41 million during the quarter, compared to the consensus estimate of $449.70 million. Dutch Bros had a net margin of 4.61% and a return on equity of 9.42%. Dutch Bros's revenue was up 30.7% compared to the same quarter last year. During the same period last year, the firm earned $0.14 earnings per share. As a group, analysts predict that Dutch Bros Inc. will post 0.84 earnings per share for the current fiscal year.

More Dutch Bros News

Here are the key news stories impacting Dutch Bros this week:

• Positive Sentiment: Reports suggest Dutch Bros is continuing to attract customers even as beverage competition intensifies, with one industry piece saying the chain is “winning traffic,” which supports the case for sustained sales momentum. As Beverage Competition Heats Up, Dutch Bros Keeps Winning Traffic
• Positive Sentiment: Coverage of Dutch Bros bringing “broistas” to four states in June points to continued unit growth and brand expansion, both of which can help support revenue growth expectations. Dutch Bros bringing broistas to these 4 states in June. See locations
• Positive Sentiment: A local report that a Bellingham pizza shop is closing to make room for a proposed Dutch Bros location suggests the company is still securing new real estate for future growth. Bellingham pizza shop closing permanently, making space for proposed Dutch Bros
• Neutral Sentiment: A Zacks article noted Dutch Bros has risen about 4.5% since its last earnings report and asked whether the move can continue, reflecting ongoing debate around valuation and momentum rather than a new catalyst. Dutch Bros (BROS) Up 4.5% Since Last Earnings Report: Can It Continue?
• Neutral Sentiment: General consumer-focused articles about trying Dutch Bros for the first time add to brand awareness, but they are unlikely to materially change near-term fundamentals. Let’s try Dutch Bros for the first time – is it worth the hype?
• Neutral Sentiment: Commentary that Dutch Bros is not afraid of growing beverage competition reinforces the company’s competitive positioning, but it is mostly narrative-driven and not a direct financial catalyst. Dutch Bros isn’t afraid of growing beverage competition
• Negative Sentiment: Multiple reports highlighted insider share sales, including transactions tied to Travis Boersma and DM Individual Aggregator, which can weigh on investor sentiment if seen as reduced confidence in near-term upside. Travis Boersma Sells 447,299 Shares of Dutch Bros NYSE: BROS Stock

Dutch Bros Profile

Dutch Bros Coffee, trading on the NYSE under the ticker BROS, is an American drive-through coffee chain known for its quick-service model and community-focused brand. Founded in 1992 by brothers Dane and Travis Boersma in Grants Pass, Oregon, the company began as a single coffee stand and has since expanded its footprint across numerous U.S. markets. Dutch Bros specializes in handcrafted espresso drinks, drip coffee, cold brew, energy drinks, smoothies, teas, and a variety of signature “Dutch Freeze” and “Dutch Frost” blended beverages.

The company operates a mix of company-owned and franchised locations, placing a strong emphasis on speed and customer engagement.

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